Colonial approves conversion into Socimi

Colonial approves conversion into Socimi

The company will become part of this group of real estate investment quoted companies which, in exchange of committing to split 80% of its profits among their shareholders, has several tax advantages, such as exemption from corporate income tax.

The real estate will turn into Socimi with effect from 1 January 2017. The company explained that becoming a Socimi “would not involve any change in the group’s corporate strategy or in its business plan”. It will be the number 39, anticipating to General de Galerías Comerciales wich will debut in MAB with a capitalization of €2,054M.

The company states that becoming a Socimi would have a positive impact for Colonial, as well an increment of €72 million on its own funds.

“It was a year of outstanding operational and financial results, representing a profitability for our shareholders of 20%, a total of 65% since June 2014, the highest of this sector regarding net value of the assets’ growth”, explained Pere Viñolas, CEO of Colonial.

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